George Osborne failed to mention IR35 in his Budget speech earlier today, although it does feature in the official document.

However, contractors are likely to be disappointed with the paper, as it revealed that IR35 will not be scrapped, against the wishes of the many who have said the system is ineffective and unfair.

It instead pledged to make "clear improvements" in the way IR35 is administered.

"The government has decided that it cannot put substantial tax revenue at risk and has therefore decided to retain IR35 and to achieve simplification by making improvements to the way in which it is administered," explained the document.

It elaborates that improvements will include the setting up of a dedicated helpline, publishing guidance on cases outside IR35 and targeting compliance activity by limiting reviews to high risk examples.

However, Mr Osborne did pledge to simplify the tax system by looking into the integration of national insurance and income tax and cutting 43 tax reliefs.